Modi's AI Spectacle: Chaos and Deception in New Delhi

The India AI Impact Summit 2026, held at Bharat Mandapam in New Delhi, has been marred by chaos, confusion and deception. The events on the ground have produced unintended media headlines for India's Prime Minister Narendra Modi who wants to be seen as the "vishwaguru" (teacher of the world) in the field of artificial intelligence as well. First, there was massive chaos on the opening day, with long lines and sudden unannounced evacuation of exhibitors and attendees from the show floor for several hours. This, the Indian government said, was done for "VIP" security, a euphemism for Mr. Modi's "photo op" as he walked the venue halls alone for the benefit of the cameras for self-promotion. Mr. Modi then declared that "India is not just a part of the AI revolution, but is leading and shaping it". To support such claims, an Indian University presented a "robodog" bought from China as its "innovation", a blatant lie that was immediately caught by people on the social media, leading to the expulsion of the institution from the show. 

5-Layer AI Stack

Let's examine Mr. Modi's claim to be "leading and shaping" the AI revolution. The artificial intelligence technology is a 5-layer stack, consisting of energy, AI chips, infrastructure, AI models and applications. Only two nations, the United States and China, have their own full 5-layer stacks. It's hard to see India as leading in any one of these layers. 

Currently, the AI space is dominated by China, the US and a handful of hyperscalers like Amazon, Google, Microsoft, etc. Any country wanting to jump on the AI bandwagon has to choose between the American and Chinese giants. Bloomberg put it best as follows:

"This, fundamentally, is a matter of sovereignty: Whether a nation’s AI systems can be independent of foreign authority. That danger was showcased in 2024, when members of Australia’s UniSuper pension fund had access to their accounts cut off due to a Google cloud misconfiguration. In October, Amazon.com Inc.’s cloud services — the world’s largest — also suffered a major shutdown, damaging its reputation". 

Strict security restrictions at the Indian AI summit caused significant limitations on carrying personal items, including laptops and other electronic devices.  In spite of such "strict security", some participants reported their exhibits and personal items stolen at the event. The fact that only cash was accepted for food and other services at the venue for the AI Summit makes a mockery of the Modi government's hype about India's digital public infrastructure (DPI). 

India's Galgotias University of Uttar Pradesh Showed Chinese Robodog as its Own

There is a significant presence of Americans at the AI Summit in New Delhi. Major "hyperscalers" like Anthropic, Google and OpenAI and Microsoft executives are all attending. The American agenda at the conference was put very succinctly by Sriram Krishnan, Senior White House Policy Advisor on Artificial Intelligence, who said, "...We want to make sure that the world uses the American AI stack...We also want the world to use our AI model...We want all our allies, including India, to leverage our AI infrastructure."

Major US technology firms have announced plans to build large multi-gigawatt AI data centers in India that make enormous demands on energy and water for powering and cooling the energy-hungry beasts. They are facing strong resistance in US cities and towns because of concerns that they will divert precious water and power, increase the rates they have to pay and cause pollution. India appears to be welcoming them for the investment they bring, in spite of significant health and safety concerns. But the Americans will not guarantee "data sovereignty" to the Indian government for Indian consumers' data stored in these data centers. 

President Donald Trump has recently scrapped greenhouse gas emission regulations to enable the use of fossil fuels to power AI data centers in the United States. But the local opposition by cities and towns continues to gather steam. 

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  • Riaz Haq

    India cuts telecom spectrum prices as operator interest dries up
    India’s telecom regulator has proposed a 40 per cent cut in the reserve price of spectrum, the radio frequencies used by the telecoms sector to transmit voice and data.
    In the early years, spectrum sales used to fetch significant revenue windfalls for the government and even result in bidding wars. This spurred the regulator to consistently raise prices. The last significant year was 2022, when the government managed to raise Rs1.5tn ($17.9bn), with Mukesh Ambani’s Reliance Jio emerging as the top bidder. But demand has weakened as the telecom industry in India consolidated into two major players (three if you count the beleaguered Vodafone Idea). By 2024 revenues had dropped sharply to Rs113bn, and the last few auctions have seen lacklustre interest from operators. The government is also sitting on a large pile of unsold spectrum now that the initial frenzy to acquire as much as possible has subsided. In 2016, it sold 40 per cent of what it offered. In 2024, the government sold less than a quarter of what it had made available. The regulator is now recommending that all available spectrum across nine frequency bands be put up for auction at a heavy discount. The reserve price for the 900Hz band, the most efficient one for mobile broadband, has been cut by half even for big cities such as Delhi and Mumbai.  While these moves suggest the regulator is finally admitting that its past strategy failed (I am old enough to remember the “spectrum is the new oil” days), they still fall short of a comprehensive overhaul the system needs. A more effective model, for example, would allocate spectrum based on demand, rather than an annual auction. The government may also not have fully absorbed the lessons of the past. The telecommunication department is reportedly considering a 5 per cent levy on adjusted gross revenue for satellite communication spectrum, the new cash cow, despite regulators recommending 4 per cent. To deploy yet another animal idiom, this risks killing the goose that laid the golden eggs. Again.

  • Riaz Haq

    Pakistan completes milestone 5G spectrum auction | TelecomTV

    The auction, conducted over three rounds of bidding held on 10 March, raised $507m for the government from the sale of licences for 480 MHz of spectrum across multiple bands, with the country’s mobile market leader Jazz (aka JazzWorld), a subsidiary of internal operator Veon, leading the way.

    https://www.telecomtv.com/content/5g/pakistan-completes-milestone-5...

    Pakistan has completed its 5G auction
    The process has dramatically increased the spectrum holdings of the country’s three main mobile operators
    Mobile market leader Jazz picked up the most spectrum, just ahead of Ufone
    Good news for Pakistan’s 202 million mobile users – the country’s government has concluded its 5G spectrum auction, which increased the total spectrum available to mobile operators from 274 MHz to 754 MHz, heralding not only the introduction of 5G services but also better quality 4G connectivity and digital services.

    The auction, conducted over three rounds of bidding held on 10 March, raised $507m for the government from the sale of licences for 480 MHz of spectrum across multiple bands, with the country’s mobile market leader Jazz (aka JazzWorld), a subsidiary of internal operator Veon, leading the way.

    The country’s regulator, the Pakistan Telecommunication Authority (PTA), had put 597 MHz of spectrum up for grabs, with the country’s three main mobile operators – Jazz (aka Pakistan Mobile Communications Ltd), Ufone (Pak Telecom Mobile Ltd) and Zong (CMPak Ltd) – registered as qualified bidders.

    All of the licences up for grabs in the 2600 MHz and 2300 MHz bands, regarded as prime 5G frequencies, were sold, while some were surplus to requirements in the 3500 MHz (also good for 5G services) and 700 MHz bands: None of the licences for 1800 MHz or 2100 MHz spectrum were sold.

    Jazz, which ended January with 74.2 million mobile customers (36.6% market share), snapped up 50 MHz in the 3500 MHz band, 70 MHz in the 2600 MHz band, 50 MHz in the 2300 MHz band, and 20 MHz in the 700 MHz band, for a total of 190 MHz of spectrum: It will pay $239.5m for its licences, according to Veon.

  • Riaz Haq

    Pakistan's 5G Auction Sets Speed Targets: Here's How Fast Your Internet Could Get
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